Japan futures climb as stronger oil prices lift sentiment
SINGAPORE, Nov 25 (Reuters) -
Japanese rubber futures climbed on Monday, as stronger global oil prices lifted market confidence, although a stronger yen capped further gains.
The Osaka Exchange (OSE) rubber contract for April delivery JRUc6, 0#2JRU: was up 6.4 yen, or 1.8%, at 362.9 yen($2.36) per kg, as of 0157 GMT.
The rubber contract on the Shanghai Futures Exchange (SHFE) for January delivery SNRv1 rose 55 yuan, or 0.32%, to 17,505 yuan ($2,416.88) per metric ton.
The most active January butadiene rubber contract on the SHFE SHBRv1 fell 120 yuan, or 0.930%, to 12,805 yuan($1,767.96) per metric ton.
Japan's benchmark Nikkei average .N225 rose 2% to 39,051.10, while the broader Topix .TOPX gained 1.33% to 2,732.43.
The dollar dipped 0.4% on the Japanese yen to 154.18 JPY=EBS, and further away from its recent peak of 156.76. USD/
A stronger currency makes yen-denominated assets less affordable to overseas buyers. FRX/
U.S. stock futures and bonds rose, while the dollar weakened, as investors welcomed the appointment of fund manager Scott Bessent as the next U.S. Treasury Secretary. Bessent, known for advocating a gradual implementation of tariffs, has drawn attention amid heightened scrutiny of U.S.-China trade relations and the economic effects of tariffs. MKTS/GLOB
Oil prices hovered near two-week highs following 6% gains last week, as geopolitical tensions heightened between western powers and major oil producers Russia and Iran, raising risks of supply disruption. O/R
Natural rubber often takes direction from oil prices as it competes for market share with synthetic rubber, which is made from crude oil.
Top rubber producer Thailand's meteorological agency warned of heavy rains that may cause flash floods until Nov. 30.
The front-month rubber contract on Singapore Exchange's SICOM platform for December delivery STFc1 last traded at 187 U.S. cents per kg, up nearly 1%.
($1 = 153.6800 yen)
($1 = 7.2428 yuan)
Reporting by Haridas; Editing by Sherry Jacob-Phillips
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